Not-for-resale products

Not-for-resale items are strictly for internal use and are not available for selling to customers. Ordering and receiving not-for-resale products is similar to ordering and receiving regular inventory products.

When you enter or copy a purchase order to a non-resale vendor, this information is checked by the system:

• Resale field on the Vendor Setup-Ordering record
• Allow PO Entry of Non-Resale Items field on the SA Operator Setup record
• Operator’s security level
• Product Category field in the Non-Stocks section of SA Administrator Options-Products-Defaults. If the field is blank, you are required to specify a product category

Error messages are displayed if you do not have the security to enter a not-for-resale item on a purchase order.

You must enter a price for not-for-resale items. The Pricing and Discounting hierarchy is not checked for these items. If you change the product, quantity, or unit on the line, the price is recalculated. Because you are not reselling the items to customers, you must apply taxes to the order.

When you receive the not-for-resale item, it is not posted to your inventory account. In the journal on which a not-for-resale product was received, the line shows a zero cost received. Because this item is used internally, it is expensed when you cost the purchase order. If the product has a valid Product Setup record with special costing, it is ignored and the cost on the purchase order is used.